Selling PVB - sell "loaded" or "stripped"?

[cbnsoul]

We are moving back to Florida and are likely going to need fewer points than we had in the past so have decided to sell our Poly points. In the past, the thought of most seemed to be to use current UY points before selling as the price for loaded versus unloaded contracts was fairly similar. I've been off the borads for awhile and was wondering if that is still the prevailing thought? There aren't a ton of resale contracts out there so it's a bit tough to gauge. One factor may be that we have a Dec UY so if I used my Dec 16 UY points this Dec, they would potentially close in Oct '16 with no current UY points until Dec '17.

Thanks for the insight!

 

[Minniesgal]

You can't close in October 2016 and use this UY points in December 2016
I think it would sell easier with this UY points but you would probably get better value if it was stripped. Might just take longer to sell a stripped contract. However as you wouldn't be able to close until after your apDecember trip taking a while to sell shouldn't be an issue

 

[cbnsoul]

Oops, sorry about the "close in Oct, use in Dec" phrase - I was thinking about using versus not suing the points in Dec and merged the thought!

 

[Dean]

We are moving back to Florida and are likely going to need fewer points than we had in the past so have decided to sell our Poly points. In the past, the thought of most seemed to be to use current UY points before selling as the price for loaded versus unloaded contracts was fairly similar. I've been off the borads for awhile and was wondering if that is still the prevailing thought? There aren't a ton of resale contracts out there so it's a bit tough to gauge. One factor may be that we have a Dec UY so if I used my Dec 16 UY points this Dec, they would potentially close in Oct '16 with no current UY points until Dec '17.

Thanks for the insight!

You might end up with slightly more if you rented then sold stripped but you also might have a more difficult time selling. It's not like it's loaded anyway since you don't have 2015 or banked points. I'd just sell it and be done if that was my goal. My suggestion is to move back and see how it goes before selling if you can.

 

[bumbershoot]

My suggestion is to move back and see how it goes before selling if you can.

I agree.


OP, FYI your signature line is all a bunch of blocked URLs. no pictures or links. Only thing I can see at the end of each line (of asterices) is BLT1.png, etc etc.

 

[ziravan]

DVC has a special through Oct where you can get loaded direct points for about $157/point depending on how many you buy.

You already don't have 2015 points so knock off $5.

New resort without direct benefits so not as big a market, another $5.

Knock off $10 because of differential between new and resale market, hassle of ROFR, and all.

So. Realistically, your points are at $137/point now.

Honestly. I think they're not going much higher or lower than that no matter what you do. The incentive on direct points is stepping on you regardless.

So. Rent out a year's point for $15 and sell for $130 to get $145, or get mid to high $130's as is.

It's a wash depending on how much work you want to put into it.

 

[JHank44]

Theoretically, the value of the contract should be a function of the # of points on the contract. If you strip the contract, then it has less points and should sell for less money and vice versa. The advantage of selling strip would be that perhaps a naive buyer comes in an pays the loaded contract value when it is stripped. That being said, I imagine you would have more luck selling a loaded contract at a higher price then a stripped contract at a lower price. Just my two cents.

 

[Dean]

Theoretically, the value of the contract should be a function of the # of points on the contract. If you strip the contract, then it has less points and should sell for less money and vice versa. The advantage of selling strip would be that perhaps a naive buyer comes in an pays the loaded contract value when it is stripped. That being said, I imagine you would have more luck selling a loaded contract at a higher price then a stripped contract at a lower price. Just my two cents.

You'd think that'd be the case but in reality it isn't. The value of a given point can vary from $5-6 a point for something expiring but that can be used and rented to upwards of $15 a point for higher end options were one can reserve ahead of time (before taxes). So a $100 point contract bought today with say Dec UY and all 2015, 16 &17 points intact plus 100 banked 2014 points is literally worth $20 a point more minus any dues reimbursed (so roughly $13-15 a point with usual dues & tax expectations) than a similar contract with 2016 points and beyond with some variation for home resort. The difference in prices is generally not nearly that much.